CoinFLEX to begin arbitration for $84 million recovery and open limited withdrawals

cointelegraph.com:

Crypto investment platform CoinFLEX is moving forward with its plan to reclaim $84 million in funds by starting arbitration procedures in Hong Kong against an individual account holder.

Co-Founders Sudhu Arumugam and Mark Lamb acknowledged in their July 9 announcement that the judgment would provide access to the individual’s “worldwide assets” and that their lawyers were “very confident” they could enforce the award.

The firm, however, noted the process could take 12 months to get a judgment in Hong Kong.

“Thereafter, we will be able to enforce that judgment against his worldwide assets,” it added.

Though the “large individual customer” was not named in the Saturday announcement, Lamb has previously publicly stated that Bitcoin Cash (BCH) proponent Roger Ver was the defaulting customer in question.

Ver, however, has denied that he owes any money to the firm. He fired back at the rumors by stating that an unnamed counterparty owes him “a substantial sum of money.”

In the most recent update, Arumugam and Lamb said that the individual was “wasting time” by promising to replenish his account with funds that never arrived.

They added that liquidating his positions created significant slippage, which has increased the sum the firm says he owes. Initial estimates put the outstanding sum at $47 million, but that amount was increased to $84 million after liquidating his FLEX token positions.

FLEX is the native token of the CoinFLEX platform.

Amid the drama between CoinFLEX and the individual whale depositor, withdrawals have been suspended since June 23. Lamb said he hoped to have them back up for users by the beginning of July.

Arumugam and Lamb stated that they now have plans to create “temporary liquidity for CoinFLEX